KARACHI, Nov 29: Cotton market on Saturday showed a firm trend as ginners raised their asking prices followed by strong covering purchases made by the spinners against their forward sales of textiles.

The snap increase in prices was apparently caused by a loud whispering that the Trading Corporation of Pakistan (TCP) may resume procurement operations possibly after the Eid holidays.

“A proposal is ready on the issue and awaits official approval,” said a leading cotton analyst Naseem Usman who had detailed talks with the TCP officials on the subject.

He attributed the current rise in prices despite expected higher arrivals of phutti into the ginneries for the fortnight ending Dec 1, close to 9m bales, maintaining the increased figure at 1.6m bales, as compared to the last season’s comparable.Another leading broker Adil said strong mill buying, including some big lots, amounting to 4,000 bales, reflects that the market is expected to further heat up in the coming weeks despite higher total crop of well over 12m bales.

Official spot rates were raised by Rs50 per maund for fine types but some of the deals were reported at Rs3,050 per maund.

But central Sindh variety stayed weak as most of the deals were reported between Rs2,725 and Rs2,800 per maund, mostly for inferior types.

New York cotton futures showed mixed trend. While the maturing December contract fell by 0.40 cents at 45.75, the forward March maintained its upward drive and was quoted higher by 1.36 cents at 47.91, reflecting bullish price outlook in the new year.The following are some of the notable deals on Saturday in the ready section:

SINDH TYPE: 600 bales, Dadu at Rs2,800, 200 bales, each Shahpur Chakkar, Khadro, Nawabshah at Rs2,725 and 500 bales, Tando Adam at Rs2,750.

PUNJAB VARIETY: 4,000 bales, 200 bales, 800 bales, 1,000 bales each and 400 bales, Rahimyar Khan, Khanpur, Liaquatpur, Ahmedpur East, Janpur and Bahawalpur at Rs3,000, 600 and 1,200 bales, Faqirwali and Haroonabad at Rs2,800, 400 bales, Lodhran at Rs2,850, 1,800 bales, Sadiqabad, Rs2,900 to Rs3,000, 800 bales, Hasilpur at Rs2,900 and 200 bales, Vehari at Rs2,860.